Department of Food and Resource Economics Who is financing the maintenance of cultural heritage in relation to churches at present? Focus on the Nordic National Curches Sidsel Kjems PhD Fellow Department of Food and Resource Economics University of Copenhagen Rolighedsvej 25 DK-1958 Frederiksberg Direct: +45 35 33 29 91 Email: smk@ifro.ku.dk Place and date

What is cultural heritage in relation to the majority churches? Department of Food and Resource Economics What is cultural heritage in relation to the majority churches? Material cultural heritage – immaterial cultural heritage Buildings - knowledge to conduct ceremonies Cemeteries - music Furniture and equipment - common references (trust?) Focus so far has been on the material cultural heritage. Place and date

How much cultural heritage? Department of Food and Resource Economics How much cultural heritage? How cultural heritage should be financed and regulated is always a political question. Expert knowledge and popular views are input to the political decision process. The national churches total spending on old buildings are not necessarily their total cost on cultural Heritage. The cost can be higher. This is the case when the cost of maintaining the cultural heritage, as viewed by “society”, is greater than the church allocates resources, resulting in an “under "maintained cultural heritage. And visa versa. The cost can be higher (if the cost of maintaining the cultural heritage, as view by “society”, are greater than the church allocates resources, resulting in an “under "maintained cultural heritage. And visa versa, the real cost of the maintenance of cultural heritage – as view by society – can be lower that the actual spending by the national church. This is the case when the national church has enough resources and choses to allocate the maintenance above the level, that the “society” would be willing to pay for. Place and date

Four different means of securing conservation Department of Food and Resource Economics Four different means of securing conservation 1. State ownership   2. Change of property rights 3. Uses of the price mechanism Direct subsidy Loan arrangements Special tax arrangements Special inheritance arrangements (less heritance tax) Entrance fees 4. Regulations Place and date

Department of Food and Resource Economics The general picture In the Nordic countries church building maintenance is financed by taxation. Sweden, Denmark and Finland: Financed by church tax Norway and Iceland : Financed by general tax When state grants are given, they are given particular to the National Church – not in competition with other cultural heritage projects. Church of England has to compete for public funding for cultural heritage purposes, alongside other charities or municipalities. From theory to the real world Place and date

Department of Food and Resource Economics Finland Financing: Church tax The Lutheran church in Finland is the only church to make a detailed accounting of costs, so it´s possible to say what part of the costs spend on buildings, are actually spend on cultural heritage designated buildings. In 2014 the Lutheran church calculated the amount to 19,4 mio. Euro. (150 mio. DKK.) (Church year book 2014, page 202) The Lutheran church in Finland has far fewer church buildings than the national church in Denmark. Statistik årsbok för kyrkan 2014, s. 203 Place and date

Department of Food and Resource Economics Sweden Financing: Church tax and a state grant The total costs on buildings by Svenske Kyrkan is around 1,5 mia. SKK. A political decision to grant app. SK 500 mio. - as reason was given that Svenske Kyrkan is maintaining “our common cultural heritage”. A political decision: Our Swedish cultural heritage The amount also seems a political decision, rather that a calculation. Why are Svenska Kyrken treated different from other private actors, also owning property of cultural heritage value? Sweden is the only country so far where a political decision is made on what all tax payers shall contribute to Svenska Kyrkan on the grounds of that Sk has cost of maintaining common cultural heritage of value to off Swedes. The political decision is thong not all too clear on how the amount was decided and why there needs to be a special grant to SK. Another possibility would have been to cover the churches by the ordinary legislation and economic support to other private owners of common Swedish cultural heritage. Place and date

Department of Food and Resource Economics Norway Maintenance is the duty and costs of the municipalities. State financing and state loans. The municipality can deduct the costs related to “cultural heritage” before calculation the support the municipality has to grant the other belief and life-stance organisations. Cultural heritage or not – DNK has exclusive right of usage of all church buildings and DNK hence has a huge advantage compared to the other belief- and lifestance organisations. Place and date

Department of Food and Resource Economics Iceland Maintenance is the duty of the national church, who also has the exclusive right of usage. The maintenance is financed – like all other expenses of the church – by public grant to the national church. The cemeteries are operated legally separated from the church administration. The maintenance of the cemeteries is financed by user payments for services. As fewer and fewer persons are buried at the small village cemeteries, the result is a lack of resources to be able to maintain the cemeteries, also for cemeteries with cultural heritage value. Place and date

Department of Food and Resource Economics Denmark Financing: Church tax and a very small state grant Folkekirken has the responsibly to maintain the buildings used be the church. Folkekirken do not register it´s costs according to spending on old or new buildings, cultural heritage or not. As you have heard several times yesterday, church buildings in Denmark are exempt from assessment on cultural heritage value. Churches cannot be listed. Place and date

The costs for maintaining old churches in Denmark Department of Food and Resource Economics The costs for maintaining old churches in Denmark In 2009 The Ministry of Ecclesial Afairs published a report estimating a cost of cultural heritage maintenance on church buildings alone to 800 mio. DKK (yearly, 2007-prices). This estimation was made from an estimation on the app. 75% of all cost related to buildings was spend on old building and hence spend on cultural heritage (maintenance, operational costs, heat, electricity etc.) In 1995 the ministry of Finance published a report on the economy of Folkekirken. In the report the cost of cultural heritage maintenance was estimated at 251 mio.DKK in 1993 (1995-prices). Place and date

Department of Food and Resource Economics England Church of England has to compete for public funding for cultural heritage purposes, alongside other charities or municipalities. Caring for Church buildings, including cathedrals, represents 13% of overall expenditure of Church of England. Cathedral Funds (600 mio. £) Place and date

Department of Food and Resource Economics Back to general Define what society see as cultural heritage, that everyone most pay for Where is no “natural” cultural heritage and no natural limit. Account for the costs Design the accounting system to be abloe to tell what the costs of he cultural heritage – as defined in no. 1, is. Decide what percentage the taxpayers should cover Does the owner has exclusive right of usage? Does the public have access? Or can the building be view from outside? Place and date

Department of Food and Resource Economics Tak Place and date